LZMH (LZ Technology Holdings) Profitability Rank: 2 (As of Dec. 2025) — Near Median

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LZMH LZ Technology Holdings Ltd LZMH
12 GF Score
Price $1.16
! 6 Warning Signs
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What is LZ Technology Holdings Profitability Rank?

LZ Technology Holdings LZMH +2.65% 12 Profitability Rank is 2 as of Dec. 2025, which is at its 10-year median of 2.00. GuruFocus rates LZMH with a GF Score™ of 12/100. The stock has 6 warning signs investors should review.

LZ Technology Holdings has the Profitability Rank of 2. It has had trouble to make a profit.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

LZ Technology Holdings's Operating Margin % for the quarter that ended in Dec. 2025 was -18.80%. As of today, LZ Technology Holdings's Piotroski F-Score is 3.


LZ Technology Holdings Profitability Rank Related Terms


LZMH vs VEEA, TDTH, ASFH: Profitability Rank Comparison

For the Information Technology Services subindustry, LZ Technology Holdings's Profitability Rank, along with its competitors' market caps and Profitability Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


LZ Technology Holdings Profitability Rank vs Software Industry

For the Software industry and Technology sector, LZ Technology Holdings's Profitability Rank distribution charts can be found below:

* The bar in red indicates where LZ Technology Holdings's Profitability Rank falls into.


LZMH
12GF Score
LZ Technology Holdings Ltd LZMH
Profitability Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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LZ Technology Holdings Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

LZ Technology Holdings has the Profitability Rank of 2. It has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

LZ Technology Holdings's Operating Margin % for the quarter that ended in Dec. 2025 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2025 ) / Revenue (Q: Dec. 2025 )
=-19.084 / 101.529
=-18.80 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

2. Piotroski F-Score

Warning Sign:

Piotroski F-Score of 3 is low, which usually implies poor business operation.

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

LZ Technology Holdings has an F-score of 3. It is a bad or low score, which usually implies poor business operation.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

4. Consistency of the profitability

5. Predictability Rank

Frequently Asked Questions Learn more about Profitability Rank →
What does a Profitability Rank of 2 mean?
LZ Technology Holdings (LZMH) has a Profitability Rank of 2 as of Dec. 2025. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on LZ Technology Holdings and its competitors. This is near median its historical median of 2.00. Over the past decade, LZ Technology Holdings' Profitability Rank has ranged from 1.00 to 2.00.
Is LZ Technology Holdings' Profitability Rank too high?
LZ Technology Holdings' current Profitability Rank of 2 is near median its 10-year median of 2.00. Over the past 10 years, this metric has ranged from a low of 1.00 to a high of 2.00. Overall, LZ Technology Holdings has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does LZ Technology Holdings' Profitability Rank compare to VEEA and TDTH?
LZ Technology Holdings' Profitability Rank of 2 can be compared against companies in the Software industry. Historically, LZ Technology Holdings' own Profitability Rank has ranged from 1.00 to 2.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Profitability Rank for a Software company?
A good Profitability Rank depends on the Software industry context. However, Profitability Rank should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Profitability Rank mean?
A high Profitability Rank can signal that a stock is expensive relative to its fundamentals. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on LZ Technology Holdings and its competitors. LZ Technology Holdings's current Profitability Rank is 2, which is near median its own 10-year median of 2.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is LZ Technology Holdings stock overvalued right now?
LZ Technology Holdings (LZMH) has a current Profitability Rank of 2. The current Profitability Rank is 2, which is near median its 10-year median of 2.00. LZ Technology Holdings' overall GF Score™ is 12/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Profitability Rank calculated?
Profitability Rank is calculated from a company's financial statements. For LZ Technology Holdings (LZMH), the current Profitability Rank is 2 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

LZ Technology Holdings Business Description

Address No. 5999 Wuxing Avenue, Unit 311, Floor 3, Zhili Town, Wuxing District, Zhejiang Province, Huzhou, CHN, 313000
LZ Technology Holdings Ltd conducts its operations through operating entities formed in the PRC, Lianzhang Portal, and its subsidiaries. The company is an information technology and advertising company with operations organized into three business verticals: Smart Community, which focuses on community access control systems and related technology services; Out-of-Home Advertising, which generates advertising revenue through advertisement displays via community access control devices and subcontractor channels; and Lifestyle Services, which provides lifestyle-related services including retail sales of diversified products, voucher promotion through e-commerce platforms such as WeChat mini programs and Douyin, and other merchant operation and online marketing services.
12GF Score

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Profitability Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

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